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GaltMachine

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  • Q1 Corporate Profits (Preliminary) [View news story]
    And we are at all time highs in the market!

    Fascinating times.
    May 29, 2015. 09:12 AM | Likes Like |Link to Comment
  • Yields fall after U.S. and Canadian economies contract in Q1 [View news story]
    "U.S. corporate profits in Q1 fell 5.9%, the largest quarterly decline since 2008."

    And yet we are at all-time highs in the market!
    May 29, 2015. 09:11 AM | 2 Likes Like |Link to Comment
  • BuzzFeed plans IPO following massive growth [View news story]
    This sounds promising and not really that overvalued by today's bubblicious standards. I recently discovered it and now read it every day.
    May 28, 2015. 12:31 PM | 2 Likes Like |Link to Comment
  • Shell CEO backs climate change warnings as well as need to keep drilling [View news story]
    "only 7% of CO2 produced each year comes from humans!"
    May 28, 2015. 12:25 PM | 1 Like Like |Link to Comment
  • The secret weapon from Tesla Motors may have arrived [View news story]
    Peter,

    "So a luxury carmaker should never use a mobile store?"

    No, didn't say that.

    You can set up all the strawmen you want but it doesn't change the fact that the first time perception of the brand will be established by these econo-box, plastic looking, diners with cars in them. For people who are unfamiliar with Tesla which probably is one heck of a large number of people despite the fact that no company I know of has had this much free publicity and push marketing so it is doubly important that the first impression be the right impression - AAPL understands this and everyone knows who they are.

    I think I was pretty clear and I do want to reach you so let me be as clear as I can. Porsche & BMW probably have near universal brand awareness and well defined brands among their target markets. Nothing they do from a marketing standpoint is likely to change these established perceptions in the minds of the potential buyers of their cars.

    TSLA does not have a well-defined brand identity yet, so it needs to be sure that everything it does conveys the image and brand that it is aspiring to create.

    In short, Boca Raton store - thumbs up, very good experience!

    Pop-up store - thumbs down, cartoon like experience.

    Pop-up sounds just like the word - temporary and without substance - are not good brand positioning statements for an aspirational luxury product.

    However, as you note we are overstating this given how small its impact will be so if this is the "secret-weapon" Elon is referring to that says more than anything about where this company is going in any event.

    Good luck!
    May 27, 2015. 10:25 PM | 2 Likes Like |Link to Comment
  • The secret weapon from Tesla Motors may have arrived [View news story]
    Peter,

    How about you "Show us evidence that the mobile stores are" working?

    For early adopters and believers and the people like you it does but for the luxury buyer of which I am one, no way.

    For the record, the Boca Raton store is in one of the toniest malls in the city and it does look actually quite nicely designed meriting the luxury branding. That's what a store should look like - it brings potential buyers in. I found it impressive and visually interesting and right across from the Apple Store you couldn't pick a better location.

    That pop-up on the other hand screams cheap and I am sorry if you can't see it.

    I stand by the Brand Image Positioning concept which is paramount in creating a brand promise for a potential buyer and the public.

    This is Marketing 101!
    May 27, 2015. 04:13 PM | 8 Likes Like |Link to Comment
  • Southern Co. in agreement with Tesla to test battery storage, CEO says [View news story]
    "During the meeting, Fanning announced that Southern Company has reached an agreement with Tesla to test commercial-scale battery storage. Bringing together two companies with a shared commitment to innovation, the agreement will provide for the examination of potential applications for the energy storage technology in helping meet customers' energy needs."

    What's the revenue impact of "the examination of potential applications for the energy storage technology"?

    Sounds vaguely like the weasel words you would hear in an infomercial. Good for PR purposes which is basically all we are hearing from TSLA these days.
    May 27, 2015. 04:09 PM | 16 Likes Like |Link to Comment
  • The secret weapon from Tesla Motors may have arrived [View news story]
    Out,

    I didn't get your hilarious point until I clicked on the link:

    http://bit.ly/1BpyCMc

    Nothing screams luxury and prestige like a tear-down plasticky looking hot-box!

    Might work for a Kia but a $100k car? Not so much. They should stick with tradeshows.

    You just may have caused some of the Teslaphiles to give you a thumbs up. Now that's truly sooper genius.

    http://bit.ly/1BpyCMg
    May 27, 2015. 03:17 PM | 5 Likes Like |Link to Comment
  • The secret weapon from Tesla Motors may have arrived [View news story]
    "I do have a secret weapon on the demand side that will probably start to deploy later this year for demand generation," teased Musk on a conference call.

    Give him credit for being awesome at delivering memorable soundbites but if the "pop-up" store is the secret weapon described then this is like having a pop-gun vs. a howitzer in the realm of weaponology ;)
    May 27, 2015. 10:51 AM | 10 Likes Like |Link to Comment
  • Volvo Makes An SUV Out Of The BMW i8 To Compete With Tesla [View article]
    Anton,

    From that review, this was interesting (not to mention how nice and stylish the interior looks):

    "Not only does that mean the 96 Li-Ion cells aren’t taking up luggage or third-row space, it also puts them into what’s effectively the safest spot in the car. “That are never gets deformed in any accident,” Lutz Stiegler, director of powertrain engineering at Volvo points out. The inherent safety of the positioning also allowed Volvo to keep the overall battery weight down, to 265 pounds."
    May 26, 2015. 01:35 PM | 1 Like Like |Link to Comment
  • Shell CEO backs climate change warnings as well as need to keep drilling [View news story]
    PVGo,

    Although directed at me I have no clue what you are trying to say.

    The quote above was in response to the question about historical C02 levels.

    The earth has "survived" levels far higher than the current levels which are low by historical standards so rest easy the earth is not going to die (although it may do its best to get rid of us over time).
    May 26, 2015. 11:07 AM | 3 Likes Like |Link to Comment
  • S&P 500 Earnings Inflated Due To Buy-Backs? Surprising Truth [View article]
    James,

    Perhaps rather than calling it a "myth", let's call it what it is .... a LIE!

    Obviously these groups like JP Morgan know better yet apparently they are comfortable spreading a lie for some benefit that I can't quite see but nonetheless they should know better.

    For me, I never assumed that the subject of this article was what was being said above so that explains the misconception on my part.

    If people believe that share-buybacks increase earnings, this market is certainly not "efficient" and that puts a further nail into the whole stupid notion of the efficient markets hypothesis.

    I get where you are coming from now with this article, perhaps my question above might prompt another ;)

    Thank you.
    May 25, 2015. 02:45 PM | Likes Like |Link to Comment
  • Shell CEO backs climate change warnings as well as need to keep drilling [View news story]
    momo,

    FYI levels of CO2 in the past were 10-20 times higher than they are now:

    http://bit.ly/1weBVpm

    "While scientists are fairly certain that a 100 million years ago carbon dioxide values were many times higher than now, the exact value is in doubt. In very general terms, long-term reconstructions of atmospheric CO2 levels going back in time show that 500 million years ago atmospheric CO2 was some 20 times higher than present values."

    Translation: C02 was as high as 5000 PPM in the past. All data is endpoint sensitive. Global Warming advocates always ignore The Inconvenient Truth.

    I suggest that you expand your reading list to include more skeptical research about the actual as opposed to the manufactured fears.
    May 25, 2015. 02:37 PM | 4 Likes Like |Link to Comment
  • S&P 500 Earnings Inflated Due To Buy-Backs? Surprising Truth [View article]
    Actually that is more a comment on me, perhaps it is a "Freudian Pun".
    May 25, 2015. 12:15 PM | Likes Like |Link to Comment
  • S&P 500 Earnings Inflated Due To Buy-Backs? Surprising Truth [View article]
    James,

    "The argument that S&P 500 index earnings are inflated by share buy-backs is simply false as a factual matter."

    No one is making this argument. Total earnings for the S&P is total earnings and completely independent of shares outstanding - it is simply an accounting identity and does not require a share calculation or market cap to calculate it.

    The argument is total earnings/divided by total shares outstanding. Of course market cap is unchanged.

    Buying back shares will increase earnings per share on remaining outstanding shares which in turn reduces PE which has nothing to do with inflating earnings. Reducing PE's (assuming earnings remain constant), in theory, makes the company appear to be a better "value" despite the fact that the business is unchanged and will not change as a result of this financial engineering. However it will show up on more "Value Screens" making it more attractive so perhaps that is the purpose.

    Perhaps, the question you should be investigating is "Why is increasing EPS by reducing shares outstanding a priority of management?"

    Thanks for the interesting article.
    May 25, 2015. 12:01 PM | Likes Like |Link to Comment
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